“I’m behind in payments… How can I avoid giving my house back to the bank in Orlando?”
No one desires the emotional and financial stress of losing their home. Sometimes, despite our best intentions, financial predicaments escalate, making monthly commitments overwhelming. At Sell Your Home Fast Orlando have talked with many people facing foreclosure and we understand how stressful it can be.
Facing the potential of handing your house back to the bank in Orlando Florida isn’t just about losing a place to live. The long-term ramifications, such as a substantial hit to your credit, can make future home purchases challenging.
Yet, there’s hope. There are steps you can initiate today, not just to mitigate these consequences but to steer yourself toward financial recovery. Read on to discover your options.
Here’s a Glimpse into the Foreclosure Process
The foreclosure process differs based on your location and mortgage type. Initially, missed payments result in notifications, then warnings. If unresolved, these missed payments might lead your loan company to auction your home. The period you can remain in your home post-auction varies by state, but eventually, relocation becomes inevitable. The whole process can take anywhere from a few months to over a year. No matter how long it takes, it is never fun to go through foreclosure and the important thing to remember is that you do have options.
You Do Have Choices!
Foreclosure isn’t just about losing a home—it significantly damages your credit score. One avenue to prevent this is a “deed in lieu of foreclosure.” Essentially, you transfer your home’s ownership to your loan company, bypassing the costlier foreclosure process. This gesture helps you dodge a foreclosure mark on your credit record.
Another option? Sell your house before the bank takes it. If you settle your loan, there’s no additional penalty. For instance, if you owe $100,000 and sell to us for $90,000, you’d provide this sum and the $10,000 difference to your loan company, thus clearing your loan. If you consult a real estate attorney, they might negotiate a deed instead of foreclosure where the bank won’t pursue the difference.
Are you pondering selling your house instead of awaiting foreclosure? Though you might not stay in your home, selling it safeguards your financial health and credit more than a foreclosure, which could plummet your credit score by 100 to 150 points. This can make it significantly more difficult for you to purchase a new home and it can make renting a home more difficult and more expensive. In extreme cases, it can even affect your ability to get hired for certain jobs.
Desire to Keep Your House Away from the Bank in Orlando?
Why might someone opt to sell rather than face foreclosure? Beyond the immediate distress, selling offers a less harmful long-term financial solution compared to the ramifications of foreclosure. If the bank accepts a lower price for your home than what you currently owe on the home, then you have just completed a short sale. A short sale affects your credit much less than a foreclosure. However, the bank has to agree to the short sale as they will potentially be losing money on the loan.
At Sell Your Home Fast Orlando, we’re not just real estate enthusiasts—we’re professionals. Discover what we can provide for your house, contact us now at (407) 630-9358, even if your home requires touch-ups or a significant amount of repairs. We have seen it all and a home that is not ready for the open market is not something that will discourage us from purchasing it.
Looking for Alternatives to Returning Your House to the Bank in Orlando?
Dial us at (407) 630-9358 or fill out this form for more details about proactive solutions. We have worked with many sellers in many different situations and we are sure that we can help. No matter how bad it may seem at the moment, Sell Your Home Fast Orlando is here to help.